Biden-Harris Administration Launches first-of-its-kind interagency initiative to address inequity in home appraisals
Today, U.S. Department of Housing and Urban Development Secretary Marcia L. Fudge and Domestic Policy Advisor Ambassador Susan Rice convened the first principal-level meeting for the Interagency Task Force on Property Appraisal and Valuation Equity (PAVE). They were joined by senior leadership from Cabinet and independent agencies that have been invited to participate in the Task Force.
Task Force members discussed how current appraisal practices are a significant contributor to the disparity in housing values. The practice of comparing properties within similar neighborhoods can be a proxy for racial demographics, which leads to the perpetuation and exacerbation of the legacy of segregation and redlining. The group identified near- and long-term opportunities to advance equity in home appraisals that will help narrow the racial wealth gap and reinvest in communities that have been historically left behind. The Task Force Members will work together and consult with civil rights organizations, advocacy groups, industry, and philanthropic entities to drive change.
Additionally, Task Force members agreed that the scope of the Task Force will be to:
- Ensure that government oversight and industry practice further valuation equity;
- Combat valuation bias through educating the consumer and training the practitioner;
- Ensure equity in valuation by making available high-quality data;
- Create a comprehensive approach to combating valuation bias through enforcement and other efforts.
The Task Force is chaired by Secretary Fudge and Ambassador Rice, and includes cabinet-level leaders from executive departments and additional members from independent agencies. The Task Force will deliver a final action report within 180 days.
The Task Force membership is comprised of the following officials:
- Secretary of Housing and Urban Development (co-chair)
- Assistant to the President for Domestic Policy (co-chair)
- Director of the National Economic Council
- Attorney General of the United States
- Secretary of Agriculture
- Secretary of Labor
- Secretary of Education
- Secretary of Veterans Affairs
- Comptroller of the Currency (OCC)
- Chairman of the Board of Governors of the Federal Reserve
- Chairman of the Federal Trade Commission (FTC)
- Chairman of the Federal Deposit Insurance Corporation (FDIC)
- Chairman of the National Credit Union Administration and the Federal Financial Institutions Examination Council
- Director of the Consumer Financial Protection Bureau (CFPB)
- Director of the Federal Housing Finance Agency (FHFA)
- Appraisal Subcommittee (ASC)